Three new acquisitions for Bodycote's Testing G...
Three New Acquisitions by Bodycote's Testing Group
Bodycote International plc, the specialist thermal processing and testing
services company, is pleased to announce the acquisitions of Saab Metech AB,
ACT Laboratories and Warrington Fire Research Group Ltd. These three
transactions for the Testing Business Unit, for which the total consideration
was £29 million in cash, advance the Group's strategy of growing its Testing
business and bring the total cash consideration spent on Testing acquisitions
during 2006 to date to £45 million.
Saab Metech AB
Bodycote has agreed to acquire the entire share capital of Saab Metech AB and
its subsidiaries, subject to regulatory approval. Saab Metech will be
integrated within the Bodycote Testing Group, and will form a new division
providing precision engineering services in the field of metrology.
Saab Metech is a well established business with a market leading position in
the Nordic Region. It is also present in Germany servicing the electronic,
defence, telecom, medical, electrical and mechanical engineering markets. The
metrology industry is experiencing a period of sustained growth as the demand
for outsourced service solutions increases. It is currently a fragmented market
offering significant consolidation opportunities. Saab Metech and Bodycote
Testing Group have significant customer synergies and the acquisition will
further enhance Bodycote's service portfolio to its customers.
ACT Laboratories
Bodycote also announces the bolt-on acquisition of the Testing & Engineering
Services division of ACT Laboratories, from ACT Holding Inc.
The acquisition of ACT Laboratories represents a major opportunity for Bodycote
to expand capabilities and capacity in the automotive testing market. There are
many synergies to exploit between the services currently offered by Bodycote's
Detroit and Mississauga facilities and those provided by ACT Laboratories.
Specialty services such as for engine cooling and exhaust system testing
enhance Bodycote's existing array of automotive services. The technical staff,
well recognised in the marketplace for their expertise and customer service,
will transfer to Bodycote and assist in the growth of the business.
The acquired business will operate as part of the Bodycote Testing Group
America's network of laboratories. ACT Laboratories, located in both Hillsdale
and Wixom, Michigan USA are A2LA accredited to the ISO 17025 standard. The
laboratories also maintain approvals from the major OEMs and Tier One
suppliers.
Warrington Fire Research Group Ltd
Lastly, Bodycote is pleased to announce the bolt-on acquisition of Warrington
Fire Research Group Ltd. including its subsidiaries and joint ventures located
in the UK, Belgium, France, Italy, Hong Kong, Dubai and Australia. Warrington
Fire is an internationally recognised centre of excellence in the area of fire
product & system testing, related consultancy, inspection and certification.
This acquisition complements Bodycote's existing Canadian fire testing centre,
bringing expertise in European fire testing standards and extending our
geographical reach.
John Hubbard, Chief Executive of Bodycote International, said:
"We are delighted to welcome Saab Metech, ACT Laboratories and Warrington Fire
to the Bodycote Group. These acquisitions further strengthen Bodycote's Testing
operations.
"Bodycote is keen to support management's aspirations to expand the Metech
company through the growing demand for outsourced service solutions together
with additional bolt on acquisitions in new geographical markets. ACT
Laboratories further strengthens our presence in the North American automotive
testing market, whilst the acquisition of Warrington Fire represents a
significant step in expanding our coverage in fire testing."
For further information, please contact:
John D. Hubbard, Chief Executive
David Landless, Finance Director
Bodycote International PLC Tel no: 01625 505300
Jon Simmons
Sally Lewis
Financial Dynamics Tel no: 020 7831 3113
Latest directors dealings
- 18 minutes ago ASOS
- 44 minutes ago MJ Gleeson
- 47 minutes ago Rolls-Royce Holdings
- 1 hour ago Crest Nicholson Holdings
- 1 hour ago Naked Wines